The Telecommunications Challenge Changing Technologies and Evolving Policies: Report of a Symposium (2006) / Chapter Skim
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Pages 147-156
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From page 147... ...
Jaffe, Lucent Technologies Andrew Schuon, International Music Feed William J Raduchel, Ruckus Network Dr.
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From page 148... ...
In the late 1970s and early 1980s Warner Communications founder Steve Ross had an interactive network called "Cube" in Columbus, Ohio, intended to deliver voice, video, and several additional applications, as well as to upload and download the user's medical information, in a networked household. It was, she said, "a complete fiasco." Time Warner had a similar full-service network about ten years later that provided voice, video, data, uploading, and downloading on a trial basis to several thousand homes in Orlando, Florida.
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From page 149... ...
Schuon evoked the memory of the "perfect storm" for entertainment content providers that had arisen from the confluence of a number of elements: the availability of ample space on hard drives and of a certain amount of broadband with the advent of MP3s and then of Napster. This ushered in an era of widespread piracy and file-sharing, and it made music the killer app driving much of the growth of the Internet's entertainment content sites in the late 1990s.
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From page 150... ...
Raduchel, was coming up with a viable business model. He had recently returned from a visit to South Korea during which the president of Korea Telecom had told him: "'Bit consumption is going up all the time.
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From page 151... ...
Raduchel said he thought "it might take a similar act of Congress here around content." The European Union had been bolder, having overridden existing exclusivities in ordering that soccer rights be made available to broadband, both wireless and wired. "If you don't have the content, you're not going to have the business models to do this," he observed, reminding those in attendance that the reason consumers pay is to be entertained.
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From page 152... ...
Mr. Thompson, emphasizing that he was speaking as a service provider and not a content provider, said that his own business model was based on the fact that "the consumer today is paying $137 a month to get something that's not worth $137." An assumption of his targeting a ten-year payback was that he could take out costs that service providers had been passing down to consumers.
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From page 153... ...
This business model was not sustainable for the industry in the long run because it would not provide sufficient revenue either to produce the music or to create the demand that drives sales. Moreover, as Steve Ballmer had said, the basic DRM for music on the iPod was "stolen." While the Microsoft CEO issued a retraction owing to the annoyance his statement had caused, according to Dr.
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From page 154... ...
154 THE TELECOMMUNICATIONS CHALLENGE Observing that the symposium had spent far less time on the issue of security than did most meetings of its kind, Dr. Nelson posed a question on that topic in the form of a scenario.
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PARTICIPANTS' ROUNDTABLE 155 Dr. Isenberg weighed in on the second half of Dr.
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From page 156... ...
A large portion of the research was classified, as it was meant for application in such homeland security concerns as border protection and monitoring, but its results would inevitably flow into public use. Sensors could, in fact, emerge as the source of the next round of productivity improvements, and they had the potential to cause other significant changes as well.
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